Plain language law

New Zealand law explained for everyone

Goods and Services Tax Act 1985

Special cases

55B: Supplier group and issuing member

You could also call this:

"Choosing a leader to handle GST information for a group of people or businesses"

Illustration for Goods and Services Tax Act 1985

If you are part of a group of two or more people who are registered for GST, you can choose one person to be in charge of sending information about taxable supplies. This person is called the issuing member. The issuing member will send the taxable supply information and supply correction information for each supply made by the group, except for supplies made under section 5(2). You can do this if you meet certain requirements, such as agreeing that the issuing member will send the information and that the other members will not. The issuing member is responsible for keeping GST records for the supplies they have agreed to be responsible for. When the group chooses or changes the issuing member, they must tell the Commissioner about it and promise to meet the obligations.

This text is automatically generated. It might be out of date or be missing some parts. Find out more about how we do this.

This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS676048.

Topics:
Money and consumer rights > Taxes
Previous

55: GST groups, or

"Companies working together can form a GST group for tax purposes"

Next

56: Branches and divisions, or

"Registering separate parts of your business for tax"

Part 9Special cases

55BSupplier group and issuing member

  1. Members of a group of 2 or more registered persons (the supplier group), each of which is not a member of the same GST group as another member of the supplier group and meets the requirements of subsection (2), may enter an agreement under which a single member (the issuing member) issues under section 19J the taxable supply information and supply correction information for each supply of goods and services made, other than under section 5(2), by a member of the supplier group (the supplying member).

  2. The requirements of this subsection are met if—

  3. the members of the supplier group agree that—
    1. the issuing member must issue taxable supply information and supply correction information for each supply by a supplying member; and
      1. each member of the supplier group other than the issuing member must not issue taxable supply information and supply correction information for a supply by the member; and
      2. the agreement includes the name, address, and registration number of each member of the supplier group; and
        1. if the terms of the agreement differ from normal commercial terms agreed earlier between the members of the supplier group, each member of the supplier group records the circumstances taken into account by the member in entering the agreement; and
          1. The Commissioner has not invalidated the agreement because the Commissioner considers that the members of the supplier group have failed to satisfy the requirements of the agreement and this section.

            1. The issuing member of a supplier group is responsible for the GST record-keeping obligations under this Act of a supplying member making a supply that the issuing member has agreed to be responsible for under subsection (1).

            2. When the members of a supplier group agree to have, or to change, the issuing member for the supplier group, the issuing member must notify the Commissioner of the member’s role and provide the Commissioner with an undertaking to meet the obligations of an issuing member for the supplier group.

            Notes
            • Section 55B: inserted, on , by section 38(1) (and see section 38(4) for application) of the Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 (2022 No 10).
            • Section 55B(1): amended, on , by section 38(2) (and see section 38(5) for application) of the Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 (2022 No 10).
            • Section 55B(2)(a)(i): amended, on , by section 38(3) (and see section 38(5) for application) of the Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 (2022 No 10).
            • Section 55B(2)(a)(ii): amended, on , by section 38(3) (and see section 38(5) for application) of the Taxation (Annual Rates for 2021–22, GST, and Remedial Matters) Act 2022 (2022 No 10).
            • Section 55B(3): amended (with effect on 30 March 2022), on , by section 149(1) (and see section 149(2) for application) of the Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 (2023 No 5).